Next Steps on Renewable Fuel Standard Implementation (PCC 16.60)

BPS Director Eric Engstrom recommended that the City implement the Renewable Fuel Standard (RFS) code as it stands, aligning carbon intensity values with the Oregon Department of Environmental Quality (DEQ). This recommendation emerged after the RFS Advisory Committee (RFS TAC) provided input on October 8, 2025, to guide the 2026 rollout of Portland's RFS. BPS expects DEQ to certify new carbon intensity values during the upcoming winter months, which will play a crucial role in program implementation. Engstrom proposed that the RFS TAC convene quarterly to assess market conditions, including the prices and supply of renewable fuels. Should significant market disruptions arise, such as spikes in diesel prices, the City could invoke emergency rule authority to suspend compliance with the RFS.

City leadership, including Mayor Wilson and Deputy City Administrator Donnie Oliveira, accepted these recommendations on October 15, 2025. BPS's next steps include updating RFS administrative rules and reporting to the City Council by February 15, 2026. The integration of the revised OR-GREET model into the program is also a priority for BPS.